The new margin pledge system — effective Aug 1, 2020

Zerodha
127

I think what Nithin meant is:

  • Suppose you have open positions on Friday. You still carry it for the next week.
  • You unpledge the securites/liquid funds anytime during the day on Friday.
  • Unpledge gets processed later in the evening on Friday. The unpledged securities get credited to your demat account on Friday itself.
  • Then on Saturday, the holdings in console should show the units as free for pledging.
  • You initiate the pledge under the new system on Saturday.
  • Margins should be updated on Saturday itself once you authorize CDSL from the email link.

But yes, @nithin please correct it if this is wrong understanding.

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128

Yep, about right.

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129

Bhai, full confusion already. :slight_smile: Give us time till next week, we will give the new list.

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131

@siva-reddy, Still on track to go live today?

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132

What will happen to the clients who had not given the POA to zerodha? Right now those clients can not pledge shares or funds more than of Rs. 10 lakh in a day. That limit of Rs. 10lakh in a day will remain in the new system or not?

133

Non POA Client will not be able to Initial Pledge Request Online…They need to send hard copy of MPRF(Margin Pledge Request Form) to broker…Or Activate CDSL EASIEST Account to create Online Margin Pledge …So, I recommend you to give POA to Zerodha as New System will be a nightmare for Non-POA Accounts…
@nithin, @siva-reddy…

134

As per @Matti in z-connect blog, there will not be any limits.

135

YES, There is no limit for margin pledging amount…I am telling that…online pledge request cant be given by Non POA Account…u need to do it physically(Which is as gud as not allowed) or open a CDSL EASIEST Account…Zerodha will clear the this also…as most brokers are themselves confused…but CDSL Present Rules are clear…Non POA cant give online pledge request…

136

Is zerodha planning to reduce pledge charges since cdsl have slashed it’s charges

137

Just reconfirming – We wouldn’t have to square off any existing position and following the procedure will shift us to new system.

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138

@nithin @siva-reddy , Is the new system live? and if yes what do Non POA members have to do to use it?

139

It’s live already. All pledge from yday are processed under the new system.

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140

@nithin @siva-reddy Is this true? I pledged a scrip today but it happened as per the old system. There was no CDSL link. And the currently pledged scrips are also not showing in the demat. There seems to be a huge gap in communication. Zerodha needs to come out with a proper communication. These off-hand statements are not helping at all, infact only adding to the confusion.

141

The change is backend, on the front end, nothing changes for you.

We are collating pledge and processing it in batches. You’ll receive the CDSL link around 5 ish.

As I’d said earlier, the depository systems & CC systems weren’t ready. The short deadline set by Regulator is what’s adding. We’re doing our best. You may post any queries you have on this thread.

142

In new pledge system where in cdsl easy portal will I find the holdings which are pledged. And will my total portfolio would be visible including pledged ones would be visible there?

143

Yes, since the shares don’t leave your demat, they’ll show up under the holdings but marked as pledge to the broker.

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144

do we need to unpledge our holdings for repledge or you guys will do it in batch some time today. as per Nithin’s message we donlt need to close our positions for repledging. how to go about doing it. @nithin @siva-reddy

145

We will set it up for you.

146

Aren’t we supposed to receive a notification if its live.
Also what will happen to already pledged shares , will it automatically get unpledged.

147

is that planned for tomorrow and would I be able to repledge over the weekend? I am awaiting that communication post @nithin message but no communication so far.